Limelight Sells EyeWonder Unit for $66 Million

Content delivery network provider Limelight Networks Inc sold its EyeWonder rich media advertising unit to DG Fastchannel Inc for about $66 million in cash, sending its shares up 8 percent in pre-market trading.

Limelight now expects third-quarter revenue of $46.1-$47.3 million, including revenue from EyeWonder through August 31. The company had earlier forecast revenue of $51.7-$53.2 million.

Analysts, on average, were expecting revenue of $52.4 million, according to Thomson Reuters I/B/E/S.

In the second quarter, Limelight's digital media revenue declined as its EyeWonder advertisement platform saw less campaign traffic and was hurt by a delay in the launching of a new platform to secure more rich media campaign revenue from advertisers.